Translation
Notice: This document is an excerpt translation of the original Japanese document and is only for reference purposes. In the event of any
discrepancy between this translated document and the original Japanese document, the latter shall prevail.

Summary of Non-Consolidated Financial Results
for the Year Ended March 31, 2022
(Based on Japanese GAAP)May 10, 2022
Company name:

ALPHA SYSTEMS INC.

Stock exchange listing: Tokyo
Stock code:
4719
Representative:
Inquiries:

URL

https://www.alpha.co.jp/President
Senior Executive Managing Director

Kiyoshi Saito
Satoshi Takada

Scheduled date of ordinary general meeting of shareholders:
Scheduled date to file Securities Report:

June 29, 2022
June 30, 2022

Scheduled date to commence dividend payments:
Preparation of supplementary material on financial results:

June 9, 2022
Yes

Holding of financial results meeting:

Yes

TEL

044-733-4111(for analysts and institutional investors)(Amounts less than one million yen are rounded down)

1. Non-consolidated financial results for the year ended March 31, 2022 (from April 1, 2021 to March 31, 2022)(1) Non-consolidated operating resultsPercentages indicate year-on-year changes
Net salesYear ended March 31, 2022
Year ended March 31, 2021

Millions of yen
33,87431,318Operating profit
%
8.2
1.6

Millions of yen
4,033
3,370

Diluted earnings pershare
Yen
Yen
198.64–
162.54–

Earnings per share
Year ended March 31, 2022
Year ended March 31, 2021

Ordinary profit
%
19.7
1.0

Millions of yen
4,086
3,428

Profit/equity

Profit%19.2
0.5

Millions of yen
2,788
2,281

%
22.2(0.5)

Ordinary profit/total Operating profit/net
assetssales%%%
7.5
9.0
11.96.4
7.9
10.8(2) Non-consolidated financial position
Total assets
As of March 31, 2022
As of March 31, 2021

Net assets

Equity ratio

Millions of yen
46,82444,307

Millions of yen
38,122
36,191

Cash flows fromoperating activities
Millions of yen
2,929
2,238

Cash flows frominvesting activities
Millions of yen
(57)
342

Net assets per share%
81.4
81.7

Yen
2,715.43
2,577.79(3) Non-consolidated cash flows

Year ended March 31, 2022
Year ended March 31, 2021

Cash flows from
Cash and cash equivalents
at end of period
financing activitiesMillions of yen
Millions of yen(703)
22,200(983)
20,032

2. Cash dividends
Annual dividends per share
1st quarter-end 2nd quarter-end 3rd quarter-end Fiscal year-end

Year ended March 31, 2021
Year ended March 31, 2022
Year ending March 31, 2023
(Forecast)

Total cash
dividends (Total)

Total

Dividend payout
ratio (Nonconsolidated)

Ratio of dividends
to net assets (Nonconsolidated)

Yen

Yen

Yen

Yen

Yen

Millions of yen

%%

––

25.00
25.00

––

25.00
55.00

50.00
80.00

701
1,123

30.8
40.3

2.0
3.0

–35.00–35.00

70.00

133.9

3. Forecast of non-consolidated financial results for the year ending March 31, 2023 (from April 1, 2022 to March 31, 2023)
Percentages indicate year-on-year changes
Net sales
Millions of yen
Six months ending
September 30, 2022
Full year

Operating profit

Ordinary profit

ProfitEarnings per share% Millions of yen% Millions of yen% Millions of yen%Yen

17,000

4.9

2,000

3.0

2,020

2.6

1,400

4.2

99.72

35,000

3.3

4,200

4.1

4,240

3.8

2,900

4.0

206.56

4. Notes(1) Changes in accounting policies, changes in accounting estimates, and restatement of prior period financial statements
Changes in accounting policies due to revisions to accounting standards and other regulations:
Changes in accounting policies due to other reasons:

Yes
No

Changes in accounting estimates:
Restatement of prior period financial statements:

NoNo(2) Number of issued shares (common shares)
Total number of issued shares at the end of the period (including treasury shares)
As of March 31, 2022

14,052,400 shares As of March 31, 2021

14,052,400 shares

Number of treasury shares at the end of the period
As of March 31, 2022

13,007 shares As of March 31, 2021

12,739 shares

Average number of shares during the period
Year ended March 31, 2022

14,039,521 shares Year ended March 31, 2021

2

14,039,746 sharesNon-consolidated financial statements
Non-consolidated balance sheets(Thousands of yen)
As of March 31, 2021

As of March 31, 2022

AssetsCurrent assets
Cash and deposits
Accounts receivable - trade20,532,135
8,033,610

22,700,793
7,684,171–
999,952

871,830
1,499,953

786
81

8,583
–

Prepaid expenses
Other

31,499213,046

43,208
195,596

Total current assets

29,811,112

33,004,137

Buildings, netStructures, net

4,377,809
49,7544,244,378
45,802Tools, furniture and fixtures, net
Land65,674
5,179,820

58,821
5,173,538

10,45019,005

9,683,509

9,541,546

Software
Other

9,100
4,353

20,227
4,201

Total intangible assets

13,454

24,429Investments and other assets
Investment securities

Contract assets
Securities
Work in process
Raw materials and supplies

Non-current assets
Property, plant and equipment

Other
Total property, plant and equipmentIntangible assets

1,386,622

792,694

Long-term prepaid expenses
Deferred tax assets

1,178
1,205,389

1,962
1,241,936

Long-term time deposits
Other

2,000,000
206,843

2,000,000
218,981

Allowance for doubtful accounts(1,000)(1,000)Total investments and other assets

4,799,033

4,254,575

14,495,997

13,820,551

44,307,110

46,824,688

Total non-current assets
Total assets3

(Thousands of yen)
As of March 31, 2021

As of March 31, 2022

Liabilities
Current liabilities
Accounts payable - trade

1,327,723

1,380,293

304,59950,239

256,547
18,307

1,675,061
688,170

1,793,796
860,989

Contract liabilities
Advances received

–
3,405

492,655
3,405

Deposits received
Unearned revenue

488,993286,945

560,603–

1,148,102
9,000

1,219,722–

637,301

592,355

6,619,542

7,178,677

Provision for retirement benefits
Other

1,257,140
239,147

1,283,906
239,147

Total non-current liabilities

1,496,288

1,523,054

8,115,831

8,701,731

8,500,550

8,500,550

Capital surplus
Legal capital surplus

8,647,050

8,647,050

Accounts payable - otherAccounts payable - facilities
Accrued expenses
Income taxes payable

Provision for bonuses
Provision for loss on orders received
Other
Total current liabilities
Non-current liabilities

Total liabilities
Net assets
Shareholders' equity
Share capital

Total capital surplus

8,647,050

8,647,050

Retained earnings
Legal retained earnings

179,000

179,000

Other retained earnings
General reserve

5,525,000

5,525,000

13,332,172

15,256,509

19,036,172

20,960,509

Retained earnings brought forward
Total retained earnings
Treasury shares
Total shareholders' equityValuation and translation adjustments
Valuation difference on available-for-sale securities
Total valuation and translation adjustments
Total net assets
Total liabilities and net assets

4(37,328)(38,352)

36,146,444

38,069,757

44,83553,19944,83553,19936,191,279

38,122,956

44,307,110

46,824,688

Non-consolidated statements of income(Thousands of yen)
Fiscal year ended

Fiscal year ended

March 31, 2021

March 31, 2022

Net sales
Cost of sales

31,318,573
23,906,087

33,874,714
25,696,790

Gross profit

7,412,486

8,177,924

591,200

548,900

Salaries and allowances
Bonuses

1,647,213
393,877

1,655,173
466,027

Provision for bonuses
Commutation allowance

135,353
42,710118,071
38,961

Legal welfare expenses
Retirement benefit expenses

357,149
80,885361,134
42,809Depreciation
Other

31,960761,793

30,819882,586

4,042,143

4,144,484

3,370,342

4,033,440

Interest income
Interest on securities

10,5297,324

10,685
7,358

Dividend income
Rental income

3,946
36,0742,370
36,320Subsidy income
Other

7,600
9,722

–
12,154

Total non-operating income

75,19868,89016,639

16,082–

134

Selling, general and administrative expenses
Remuneration for directors (and other officers)

Total selling, general and administrative expenses
Operating profit
Non-operating income

Non-operating expenses
Rental costs
Other
Total non-operating expenses

16,63916,2173,428,902

4,086,113

Gain on sale of non-current assets
Gain on sale of investment securities

1,349
5,850

1,886
10

Total extraordinary income

7,199

1,896

59,654

3,670

Ordinary profit
Extraordinary income

Extraordinary losses
Loss on retirement of non-current assets

59,654

3,670

Profit before income taxes

Total extraordinary losses

3,376,447

4,084,339

Income taxes - current

1,110,842

1,264,160

Income taxes - deferred(16,364)

31,399Total income taxes

1,094,478

1,295,560

Profit2,281,968

2,788,779

5

Non-consolidated statements of changes in equity
Fiscal year ended March 31, 2021
(Thousands of yen)
Shareholders' equity
Capital surplus

Retained earnings
Other retained earnings
Legalretainedearnings

TreasurysharesTotalshareholders'equity

Generalreserve

Retainedearnings
brought
forward5,525,000

12,032,990

17,736,990

Dividends of surplus(982,787)(982,787)(982,787)

Profit2,281,968

2,281,968

2,281,968

Share capital Legal capital Total capitalsurplussurplus

Balance at beginningof period

8,500,550

8,647,050

8,647,050

179,000

Total retained
earnings(36,400)

34,848,190

Changes during period

Purchase of treasury
shares

(927)

(927)

Net changes in items
other thanshareholders' equity
Total changes during
periodBalance at end ofperiod

––––

–

1,299,181

1,299,181(927)

1,298,254

8,500,550

8,647,050

8,647,050

179,000

5,525,000

13,332,172

19,036,172(37,328)

36,146,444

Valuation and translation
adjustments
Valuation
Totaldifference onvaluation andavailable-fortranslationsale
adjustments
securities
Balance at beginningof period

26,15626,156

Total net
assets34,874,346

Changes during period
Dividends of surplus(982,787)

Profit2,281,968

Purchase of treasury
sharesNet changes in items
other thanshareholders' equity(927)

18,67918,67918,679Total changes during
period18,67918,6791,316,933

Balance at end ofperiod

44,83544,83536,191,279

6Fiscal year ended March 31, 2022
(Thousands of yen)
Shareholders' equity
Capital surplus

Retained earnings
Other retained earnings

Share capital Legal capital Total capitalsurplussurplus

Balance at beginningof period

8,500,550

8,647,050

8,647,050

Legalretainedearnings

179,000

Generalreserve

Retainedearnings
brought
forward5,525,000

13,332,172

19,036,172(162,462)(162,462)

13,169,709

18,873,709

Cumulative effects
of changes inaccounting policies
Restated balance

8,500,550

8,647,050

8,647,050

179,000

5,525,000

Total retained
earnings

Treasuryshares(37,328)

Total
shareholders'equity36,146,444(162,462)(37,328)

35,983,981

Changes during period
Dividends of surplus(701,979)(701,979)(701,979)

Profit2,788,779

2,788,779

2,788,779

Purchase of treasury
shares(1,023)(1,023)

Net changes in items
other thanshareholders' equity
Total changes during
periodBalance at end ofperiod–––––

2,086,800

2,086,800(1,023)2,085,776

8,500,550

8,647,050

8,647,050

179,000

5,525,000

15,256,509

20,960,509(38,352)

38,069,757

Valuation and translation
adjustments
Valuation
Total
difference on
valuation andavailable-fortranslationsale
adjustments
securities
Balance at beginningof period

44,83544,835

Cumulative effects
of changes inaccounting policies
Restated balance

Total net
assets36,191,279(162,462)
44,83544,83536,028,816

Changes during period
Dividends of surplus(701,979)

Profit2,788,779

Purchase of treasury
sharesNet changes in items
other thanshareholders' equity(1,023)

8,364

8,364

8,364

Total changes during
period

8,364

8,364

2,094,140

Balance at end ofperiod

53,19953,19938,122,956

7

Non-consolidated statements of cash flows(Thousands of yen)

Cash flows from operating activities
Profit before income taxes

Fiscal year ended

Fiscal year ended

March 31, 2021

March 31, 2022

3,376,447

4,084,339

Depreciation
Increase (decrease) in provision for bonuses

250,082
26,134249,161
71,620

Increase (decrease) in provision for loss on orders received
Increase (decrease) in provision for retirement benefits

9,000
336,475(9,000)
26,766

Interest and dividend income
Subsidy income(21,800)(7,600)(20,414)–

Loss on retirement of property, plant and equipment
Loss (gain) on sale of property, plant and equipment

59,654(1,349)3,670(1,886)(5,850)(426,273)(10)
349,438–
14,440(871,830)(7,715)(287,156)
28,50852,570(47,635)

Loss (gain) on sale of investment securities
Decrease (increase) in trade receivables
Decrease (increase) in Contract assets
Decrease (increase) in inventories
Increase (decrease) in trade payables
Increase (decrease) in accounts payable - other
Other, net

45,142

145,492

Subtotal

3,395,854

4,024,565

Interest and dividends received

26,327

20,174

Subsidies received
Income taxes paid

7,600
(1,191,173)–(1,114,824)

Net cash provided by (used in) operating activities

2,238,609

2,929,914(1,500,000)(500,000)

2,000,000(105,694)

500,000(141,050)–(4,668)8,700(17,076)(1,999,800)(1,999,800)

2,009,750

2,105,990

Cash flows from investing activities
Payments into time deposits
Proceeds from withdrawal of time deposits
Purchase of property, plant and equipment
Proceeds from sale of property, plant and equipment
Purchase of intangible assets
Purchase of short-term and long-term investment securities
Proceeds from sale and redemption of short-term and longterm investment securities
Other, net(57,481)(14,600)

342,106(57,838)(927)(1,023)

Dividends paid

(982,590)(702,394)

Net cash provided by (used in) financing activities(983,517)(703,418)

Net cash provided by (used in) investing activities
Cash flows from financing activities
Purchase of treasury shares

Effect of exchange rate change on cash and cash equivalents––

Net increase (decrease) in cash and cash equivalents

1,597,197

2,168,657

Cash and cash equivalents at beginning of period

18,434,937

20,032,135

Cash and cash equivalents at end of period

20,032,135

22,200,793

8